The incomplete cars of Iran Khodro Company have declined by 80% on Aug. 5 compared with the same day of last year, according to IKCO’s deputy for comprehensive production system.
Shahram Salehi added that with the implementation of plans made in Iran Khodro Industrial Group to supply parts and complete cars with a deficit, the parking lots of Iran Khodro in Binaloud, Khorasan Razavi Province, as well as in Kermanshah and Fars provinces, have been cleared of incomplete cars, Donyaye Khodro reported.
"All cars with deficit parts at Iran Khodro’s Khorasan Razavi site were cleared on Aug. 5, hence there are no more incomplete cars in the parking lot of this site," he added.
The official stated that the number of incomplete cars at this site was more than 12,000 units on Aug. 5, 2021.
"As the parking lots of Iran Khodro Khorasan's cars were emptied, Iran Khodro’s total incomplete vehicles reached 13,000 vehicles and registered an 80% decline compared to Aug. 5 of last year," he added.
According to Salehi, two Iran Khodro sites in Tehran and Tabriz have incomplete cars, which will soon be cleared with the supply of parts.
He noted that incomplete cars at the Tehran site have also declined by 95% year-on-year, which is on the verge of reaching zero.
"By implementing the complete production approach, incomplete cars will no longer be added to the current statistics. Therefore, the number of incomplete cars will soon reach zero," he said.
Salehi emphasized that the completed cars have the same quality and standards as normal cars.
Alongside completing cars with a deficit of parts, Iran Khodro managed to increase the rate of delivery from the factory to dealers by 30% in the first four months of the current fiscal year (March 21-July 22) compared with the same period of last year.
“The car manufacturer, for the second time this year, broke the monthly delivery record in the fourth fiscal month [June 22-July 22] with 53,888 vehicles,” he said.
According to the company’s report, it delivered 36,415 vehicles during March 21-July 22, 2021, which reached 47,218 vehicles in the corresponding period of the current fiscal year, registering a 30% growth.
IKCO’s Car Production Waste Falls by 60%
Waste generated by Iran Khodro’s car production lines, including from its body manufacture, paint and assembly halls, has reduced by 60% in the first quarter of the current fiscal year (March 21-June 21), according to IKCO’s vice president for manufacturing.
Alireza Bakhtazma was also quoted as saying by Donyaye Khodro that by halting incomplete car production, its manufacturing processes have improved, as any defect is identified during inspections and before the car is delivered to the sales representative.
According to the official, the elimination of incomplete car production has resulted in a 25% increase in the quality of IKCO’s products.
“Pre-delivery inspection has improved the quality of products and the results of customer surveys and evaluation of after-sales delivery confirm this issue,” he said.
“We are redesigning the production system and implementing more up-to-date standards in the manufacturing process, including 5S and a new logistics system.”
5S is a five-step methodology for creating a more organized and productive workspace: Sort, Straighten, Shine, Standardize and Sustain. In fact, 5S serves as a foundation for deploying more advanced production tools and processes.
Bakhtazma noted that the space around the production line will be freed, which will increase productivity by the end of the current fiscal year (March 20, 2023).
Referring to the summer break and production condition, the official said this season is the best time for renovating and upgrading the production lines, apart from undertaking the maintenance of equipment.
“As the maintenance and replacement of spare parts of equipment are very important, we prepare ourselves to achieve production goals in the second half of the current Iranian year,” he added.
Bakhtazma said Industrial Services Engineering Company of IKCO has also increased the security of transporting car parts to production sites by using an efficient transportation management software.
“This software will soon be used to increase the security of car transportation to dealerships as well,” he said.
IKCO Output Grows by 53%
With the production of 174,695 cars from the beginning of the current fiscal year (March 21) to July 11, the CEO of IKCO announced a 53% increase in the production of complete cars compared with the same period of last year.
"Delivery to customers during the period has reached 169,487 vehicles, registering a 30% year-on-year increase," Mehdi Khatibi was also quoted as saying during the meeting with TAM Company’s employees.
He noted that during the same period, deeds were issued for 161,256 cars, which is 41% higher compared with the same period of last year.
"By producing 750,000 passenger and commercial vehicles this year, the production of complete vehicles will help save 70 trillion rials. In addition, it will prevent a decline in the quality of products and reduce social concerns among people due to the decline in supply,” he said.
